Press Release
19 September 2006
New international partnership to sink prices on life-saving medicines for poor countries
The UK today joins France, Norway, Chile and Brazil to launch UNITAID, an innovative partnership to supply poor countries with lower-cost life-saving medicines for AIDS, tuberculosis and malaria.
Gareth Thomas, International Development Minister announced the UK’s long-term financial commitment over a 20 year period starting at €20 million (approx £15 million) in 2007 and, subject to the outcome of a joint assessment of the performance of UNITAID, will gradually rise to €60 million (approx £40 million) by 2010.
UNITAID is a French-born initiative which aims to secure dramatic reductions and wider access to medicines which are currently unaffordable for most people in developing countries.
UNITAID will increase access to medicines at lower prices through innovative, long-term and predictable funding sources like taxes on airline tickets coupled with consistent long-term budgetary contributions such as those pledged by the UK. With these funds, UNITAID will generate a reliable demand for medicines and use international bulk procurement to bring down prices.
Gareth Thomas, International Development Minister said:
“It is absurd that some poor countries pay more than wealthy countries for AIDS drugs when cheaper generic options are available. With our partners in UNITAID we will work to ensure that prices are pushed down and that poor countries get the maximum benefits from intellectual property rights agreements (TRIPS) and exemptions.
“11 million children still die each year from preventable diseases such as malaria and tuberculosis due to lack of access to medicines and treatment. Donor countries must make it a priority to make treatment available for all who need it.
“Our commitment to UNITAID today reaffirms the UK’s strong dedication to improving access to medicines in developing countries. UNITAID, like the UK’s International Financing Facility for Immunisation which was launched during the 2005 G8 Summit in Gleneagles, represents innovative ways of providing long-term funding for life-saving health services.”
UNITAID will be hosted by the World Health Organization (WHO) and will begin work immediately. To kick-start UNITAID, the founding countries (UK, Brazil, Chile, Norway and France) have already identified programmes to be delivered from October 2006 once approved at the first UNITAID board meeting in October. These will:
- Fund the treatment of children with HIV/AIDS with Anti Retro Virals (ARVs) in 30 countries, reaching up to 100,000 children in 2007 and 200,000 in 2008.
- Fund increase of second line ARVs to 100,000 patients in 16 of the 21 countries with the highest consumption of first line treatments.
- Scale up existing Global Fund grants to provide up to 28.3 million Artemisin Combined Therapy (ACT) treatments for malaria sufferers in 8 countries.
- Work with the Global Drug Facility to provide paediatric tuberculosis treatments for up to 150,000 children in 2007 and 315,000 in 2008 – and ensure development of new formulations for children under 5 to be available in 2008.
- Fund WHO to assess the quality of priority drugs and diagnostics, and to support quality testing of medicines supplied through UNITAID.
UNITAID is launched on 19 September 2006 at the United Nations (UN) General Assembly Special Session by UN Secretary General Kofi Annan, President Lula de Silva, President Jacques Chirac, Prime Minister Jens Stoltenberg, Gareth Thomas, International Development Minister, President Sassou-Nguesso, Chairman of the African Union, and other world leaders.
Notes to editors
1) UNITAID was initially known as the International Drugs Purchasing Facility (IDPF).
2) The French are the largest donor to UNITAID and estimate they will raise some €200 million a year (£135 million) through their Air Passenger Tax.
3) UNITAID’s provisional board will comprise ten members, including five representatives from founding countries, one from an African country, one from an Asian country, two from non-governmental organisations (NGOs) and one from the WHO. The African Union will be invited to nominate the African representative. NGOs will be asked to elect their two representatives, one from the developed world and one from the developing world, including communities of people living with the diseases.
4) The UK’s Department for International Development’s current levels of funding for major global health initiatives are:
- Global Fund for AIDS, Tuberculosis and Malaria (GFATM): The UK has contributed £100 million for 2006 and has committed to £100 million in 2007 subject to good performance.
- Global Alliance for Vaccines and Immunisation (GAVI): £10 million 2006/7 and £14.3 million 2007/8.
- International Financing Facility for Immunisation (IFFIm): The UK is contributing £1.4 billion over the next 20 years.
5) Only 1 per cent of new medicines produced between 1975 and 2000 were for developing country markets. This amounts to 14 new drugs in 25 years to treat diseases in the developing world where 90 per cent of the world’s population live.
For more information, please contact DFID Press Office, tel. +44 (0) 207 023 0944 or email: pressoffice@dfid.gov.uk For calls out of hours, please call +44 (0) 207 023 0600.
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